The Wexford TD was found to be unable to pay back multi-million euro loans following an application by the US fund Cerberus.

Today’s decision comes on the back of an application by Promontoria Limited, a subsidiary of US fund Cerberus, in relation to a €2m debt.

At the start of this year, a summary judgement was made against Deputy Wallace in the High Court.

Earlier this month, the High Court heard he was looking at possible alternatives to bankruptcy and that a Personal Insolvency Practitioner had written to his main creditors to see if some sort of arrangement could be made.

This morning, Ms Justice Caroline Costello heard the Wexford TD has been unable to reach such an arrangement and is no longer contesting his bankruptcy.

All of his assets will now be transferred to the court’s Official Assignee Christopher Lehane, who will try to sell them on.

The High Court may appropriate his salary and pension and his family home could also be put up for sale, but this is by no means certain.